By keeping the original dollar amount intact in the original account and reducing the figure in a separate account, the financial information is more transparent for financial reporting purposes. For example, if a piece of heavy machinery is purchased for …

Content Open a checking, savings, and IOLTA account How to hire the right legal bookkeeper Fumbling Cash Reconciliation & Accrual Statements Pick a lawyer-friendly merchant processor Payments A chart of accounts (COA) is a list of all the financial accounts …

Larger companies often hire one or more in-house bookkeepers and accountants to handle all the financial records. If you work for a corporation, you’ll likely be one of a team in the accounting department on a daily basis. Smaller companies …

Working capital represents the difference between a company’s current assets and current liabilities. Any changes in current assets (other than cash) and current liabilities (other than debt) affect the cash balance in operating activities. This cash flow statement template provides you …

Both dividends and share repurchases are considered outlays of cash and can be found on the cash flow statement. Accounting ratios come with wide-reaching use and necessity, even for those of us who are not accountants. Many of us like …

Content What is the difference between opportunity cost and sunk cost? Weighing opportunity cost when you invest Get an easy and flexible credit line to help grow your business! Products Opportunity cost vs. risk. Is Opportunity Cost Real? A firm …

Content Common Types of Prepaid Expenses FASTER AND MORE ACCURATE CLOSE Why are Prepaid Expenses Assets? Avoid rising costs Insurance As a Prepaid Expense Initial Recognition of Prepaid Expenses What is Prepaid Expense Amortization ? Prepaid expenses refer to the …